Trump Administration Proposes Ban on Large Investors Buying More Single-Family Homes, Per Wall Street Journal Report

 


The Trump administration has proposed barring investors who already own more than 100 single-family homes from purchasing additional properties, according to a White House memo sent to congressional committee leaders and obtained by The Wall Street Journal on Thursday, February 19, 2026.

The memo outlines a targeted restriction aimed at curbing the growing influence of large institutional investors in the single-family rental market, which administration officials argue has contributed to rising home prices and reduced homeownership opportunities for ordinary Americans.

Key details from the proposal include:

The ban would apply only to investors exceeding 100 single-family homes in their portfolios.

Exemptions would be granted for investors who build new homes or substantially renovate existing properties specifically for rental purposes, recognizing the role of such activity in increasing housing supply.

The restriction would not apply retroactively to current holdings but would prevent further acquisitions beyond the 100-home threshold.

Administration officials are actively pushing to include the investor limit as an amendment to ongoing Senate housing legislation currently under negotiation. For several weeks, the White House has urged lawmakers in both chambers to attach the provision to broader housing packages advancing through Congress.

However, these efforts have so far stalled. Last week, House Republicans passed their own housing reform package that did not include the investor restriction. The Senate approved its version of housing legislation last fall, and the two chambers are now in the process of reconciling differences into a final bill. White House aides have indicated that the investor ban remains a priority for inclusion in the reconciled measure.

The proposal forms a central element of President Donald Trump’s housing agenda in his second term. Trump has repeatedly criticized large corporate landlords and institutional buyers for driving up rents and home prices, particularly in suburban and Sun Belt markets where single-family rentals have surged in popularity.

According to people familiar with White House planning cited by the Journal, Trump is expected to highlight the investor restriction proposal during his State of the Union address scheduled for Tuesday, February 24, 2026. The speech is anticipated to focus heavily on economic issues, housing affordability, and efforts to expand homeownership.

The administration’s push comes amid ongoing debates over housing affordability, supply shortages, and the role of institutional investors in the market. Data from real estate analytics firms show that large investors (owning 100+ homes) control a growing but still minority share of the single-family rental stock, particularly in Sun Belt states such as Texas, Florida, Georgia, and North Carolina.

Supporters of the measure argue that limiting further acquisitions by mega-investors would help preserve inventory for individual homebuyers and small-scale landlords. Critics—including real estate industry groups and some economists—contend that such restrictions could deter investment in new rental construction, reduce overall housing supply, and inadvertently raise rents by limiting professional management and maintenance of rental properties.

The White House has not yet released the full text of the memo or detailed legislative language. Congressional aides in both parties confirmed receipt of the document but described negotiations as fluid, with the investor cap remaining a contentious point in bicameral talks.

The proposal aligns with broader Trump administration priorities on housing, including deregulation of zoning and permitting, incentives for domestic construction materials, and efforts to increase supply through federal land use reforms. It also reflects the president’s populist messaging on protecting middle-class families from corporate dominance in key markets.

As the Senate and House continue reconciling their housing bills, the investor restriction’s fate will likely depend on negotiations between Republican leadership, moderate senators, and White House negotiators. An adverse ruling or exclusion could prompt the administration to pursue the policy through executive action or alternative legislative vehicles.

The White House did not immediately respond to requests for additional comment on Thursday. Industry groups representing institutional investors and real estate developers are expected to intensify lobbying efforts as the reconciled bill moves toward a vote.

The debate over large investors in the single-family market has intensified since the COVID-19 pandemic, when low interest rates and remote work trends drove a surge in institutional purchases. Whether the Trump proposal gains traction in Congress will be one of the key tests of the administration’s ability to translate campaign promises into law during the 119th Congress.

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